USDJPY is gradually losing the bullish momentum and possibly making its way down after hitting the $133.804 support level.
The bears are gradually gaining strength and may likely continue the drop.
USDJPY Weekly Price Analysis – February 17
USDJPY is on its way to the support level, additional efforts from sellers might further drop the currency pair price down to a low at the $127.454 value and beyond as the bears aim to dominate the market conditions soon.
USDJPY Market
Key Levels:
Resistance levels: $142.000, $143.000, $144.000
Support levels: $130.000, $129.000, $127.000
USDJPY Long-term Trend: Bullish (Daily chart)
On the daily chart, the USDJPY pair is trading above the moving averages, which means that it’s in a bullish trend zone. Meanwhile, the bulls’ pressure on the currency pair at the $134.357 resistance level during yesterday’s session has made it possible for the Yen to remain in an uptrend in its recent time.
The bulls lost momentum as the daily chart opens today on a bearish note at the $134.144 support value above the moving average lines.
Impulse move from the bears further dropped the market price of the Yen down to the $133.601 support level slightly above the supply trend levels as it journeys down south. This implies that the bears are coming in gradually to stage a play in the market and this might continue.
Similarly, the drop may likely continue as indicated by the daily stochastic which is pointing downwards in the overbought region of the daily signal. This implies that the buying pressure is exhausted, we can now expect more drops from sellers and this might drop the price of USDJPY down to the $127.454 lower support area in the days ahead in its long-term outlook.
Hence sellers must wait patiently for this to happen before taking a position.
USDJPY Medium-term Trend: Bullish (4H chart)
On the 4-hourly chart, the pair is in a bullish market zone. The price movement of USDJPY is currently seen to be above the moving averages, indicating a bullish trend zone.
The bullish pressure at the $134.357 high level in the past few hours has sustained the bullishness of the currency pair.
The price bar at a $133.601 low value at the moment is currently seen slightly above the moving average lines. This means that the short traders are gradually coming in to dominate the soon.
Furthermore, it seems the bears are ready to continue with the downward rally as indicated by the daily stochastic which is pointing in a downward direction at the overbought region. This may likely drop the price of USDJPY down to hit the $127.215 lower support level in the days ahead in its medium-term outlook.
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